| Your Current Location : Correlation : Asset Class Correlation |
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Asset Class Correlation Matrix |
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| The following table shows return correlations between various Asset Classes over the past 3 Years. |
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AC1 |
AC2 |
AC3 |
AC4 |
AC5 |
AC6 |
AC7 |
AC8 |
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Return |
SD |
| Corporate Bond |
AC1 |
1.00 |
1.00 |
0.95 |
0.82 |
-0.88 |
0.97 |
0.56 |
0.96 |
|
7.54 |
2.47 |
| CRISIL 1 Yr T-Bill |
AC2 |
1.00 |
1.00 |
0.95 |
0.82 |
-0.85 |
0.97 |
0.55 |
0.96 |
|
6.31 |
0.52 |
| Emerging Market |
AC3 |
0.95 |
0.95 |
1.00 |
0.96 |
-0.84 |
0.94 |
0.28 |
0.99 |
|
15.00 |
45.02 |
| Equity India |
AC4 |
0.82 |
0.82 |
0.96 |
1.00 |
-0.63 |
0.77 |
0.51 |
0.96 |
|
17.62 |
198.85 |
| Gilt 10 years |
AC5 |
-0.88 |
-0.85 |
-0.84 |
-0.63 |
1.00 |
-0.90 |
-0.52 |
-0.83 |
|
-4.95 |
9.89 |
| Gold |
AC6 |
0.97 |
0.97 |
0.94 |
0.77 |
-0.90 |
1.00 |
0.64 |
0.94 |
|
23.54 |
15.75 |
| Silver |
AC7 |
0.56 |
0.55 |
0.28 |
0.51 |
-0.52 |
0.64 |
1.00 |
0.27 |
|
21.57 |
522.40 |
| World Index |
AC8 |
0.96 |
0.96 |
0.99 |
0.96 |
-0.83 |
0.94 |
0.27 |
1.00 |
|
15.96 |
53.86 |
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Note :
- Returns upto 1 year are absolute and over 1 year are compounded and annualised.
- Standard Deviations are calculated on daily return basis for the given period and are annualised.
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Intra-Portfolio Diversification 
Diversification can be quantified as the intra-portfolio correlation. This indicate Percent of diversifiable risk eliminated. |
26.06% |
| Portfolio Return |
12.82% |
| Start Date |
01 Jul 2022 |
| End Date |
30 Jun 2025 |
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| Each cell represents the correlation between the two corresponding assets. |
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| Cell Color |
Description |
Diversification Benefit |
| -1.00 to -0.40 |
Asset pair with negative correlation |
Excellent Diversification |
| -0.40 to 0.00 |
Asset pair with slight negative correlation |
Good Diversification |
| 0.00 to 0.60 |
Asset pair with mild positive correlation |
Moderate Diversification |
| 0.60 to 1.00 |
Asset pair with strong positive correlation |
Poor Diversification |
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